Decentralized Exchange
A decentralized exchange (DEX) is a trading platform run by smart contracts instead of a company. You connect your wallet and trade directly from it — no a
A decentralized exchange (DEX) is a trading platform run by smart contracts instead of a company. You connect your wallet and trade directly from it — no account, no custody, no KYC. Uniswap (automated market maker) and dYdX (order book) are the two dominant designs.
Why it matters
DEXs remove the exchange’s two famous risks — your coins in their bank, and your account frozen at their whim. In exchange, you take on smart-contract risk and often worse liquidity. “Is it a CEX or a DEX?” is the first question for any trade.
Related terms
exchange · liquidity ·
smart contract